Starlite Holdings Ltd. Provides Group Earnings Guidance for the Year Ending March 31, 2012
March 19, 2012 at 11:24 am
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Starlite Holdings Ltd. provided group earnings guidance for the year ending March 31, 2012. For the period, the group is expected to record a loss as compared to a profit recorded for the previous corresponding financial year. Such expected loss is mainly attributable to (i) the unfavourable market environment in the United States and Europe where the majority of the Group's revenue is derived from, as a result the Group is expected to record a double-digit decrease in turnover for the year ending 31 March 2012; the increase in the operating costs (in particular, labor costs) in the People's Republic of China and the prevailing high price of raw materials, which cannot be fully passed on to customers due to intense competition in the printing and packaging industry, thus affecting the Group's profitability; and an impairment provision that is likely to be made by the group to reflect the sustained loss of its Suzhou operation, which is expected to have significant impact on the group's results. The board considers that the overall financial position and operations of the Group remain solid despite the unsatisfactory results for the year ending 31 March 2012 that are expected to be recorded.
Starlite Holdings Limited is a Hong Kong-based investment holding company principally engaged in printing and packaging material businesses. The Company is mainly engaged in printing, as well as the manufacture of packaging materials, labels and paper products, including environmentally friendly paper products, childrenâs books and greeting cards, among others. The Company operates through three geographical segments, including Southern China segment, Eastern China segment and South East Asia segment. It operates businesses in Suzhou, Shanghai, Guangzhou, Shenzhen, Hong Kong, Tokyo, Melbourne, Singapore, Malaysia, London, Paris and New York, among others.